Tiger equipment inc., a manufacturer of construction equipment, prepared the following factory overhead cost budget for the welding department for may 2014. the company expected to operate the department at 100% of normal capacity of 8,400 hours.

1 variable costs:
2 indirect factory wages $30,240.00
3 power and light 20,160.00
4 indirect materials 16,800.00
5 total variable cost $67,200.00
6 fixed costs:
7 supervisory salaries $20,000.00
8 depreciation of plant and equipment 36,200.00
9 insurance and property taxes 15,200.00
10 total fixed cost 71,400.00
11 total factory overhead cost $138,600.00

during may, the department operated at 8,860 hours, and the factory overhead costs incurred were indirect factory wages, $32,400; power and light, $21,000; indirect materials, $18,250; supervisory salaries, $20,000; depreciation of plant and equipment, $36,200; and insurance and property taxes, $15,200.
prepare a factory overhead cost variance report for may. to be useful for cost control, the budgeted amounts should be based on 8,860 hours.

due to the changes the federal reserve is making the unused reserves will impact the economy by them facing inflation. inflation is definfed as the increase in pricing of a good or service but the decline of the value of money used for purchasing those items. when the economy has a high inflation rate, they are subject to money loss and hurt on the economy.

answerthere are 5 cte courses that you take;

answer: in the short-run firms will respond by raising the price of turkey.

explanation: initially the long-run equilibrium is at a price of $5 per pound of turkey and a quantity of 50 million pounds per year. now, when webmd claims that a protein found in turkey will increase your expected lifespan by 4 years. the consumers demand for turkey will increase at every price shifting the demand curve to the right from d1 to d2. while, there will be no change in the supply curve in the short-run as it is not possible for producers to adjust supply so quickly. as a result the new equilibrium will occur at a higher price and a higher quantity of turkey.

thus, in the short run firms will respond by increasing the price of turkey, selling more quantity at a higher price and earning economic profits.